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Report: Saudi cement sales to grow 19% this year

01 Apr 2010

(MENAFN) An economic report published in Jeddah said that cement sales in Saudi Arabia are likely to rise by 19 percent in 2010 but prices are expected to drop, dragging profit margins down as new entrants, Saudi Gazette reported.

Cement sales are expected to reach 44 million tons this year, the report said, as the Kingdom is undertaking multi billion dollar infrastructure projects.

The report noted that Saudi cement companies are considered among the most profitable globally as they benefit from low energy and feedstock costs.

There are currently 12 cement companies in the Kingdom, eight of them listed on the bourse, with an annual production capacity of 48 million tons. Total sales volume in 2009 did not exceed 38 million tons, the report said.

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